What characterizes a buyer's market in real estate?

A buyer's market in real estate is characterized by an excess of sellers compared to the number of buyers in the market. When this occurs, the supply of properties available for sale exceeds the demand from potential buyers. As a result, buyers have the advantage because they can choose from a wider selection of properties, and this often leads to more favorable pricing for them. Sellers may need to lower their prices or offer other incentives to attract buyers, as there are more options available for buyers to consider.

In such a market, buyers may negotiate better deals and enjoy advantages such as increased patience in their purchasing decisions because they are not under pressure due to high demand. This contrasts with a seller's market, where the demand outstrips supply, leading to higher prices and more competition among buyers.

The options reflecting an excess of buyers, stable prices, or rapid increases in demand do not accurately describe the dynamics of a buyer's market, as those would pertain to the opposite market conditions. Understanding these market characteristics can help both real estate professionals and consumers make informed decisions.